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Marketing Management
       Branding
Product vs. Brand
A product is something that is   A brand is something that is bought
made in a factory                by a customer.



A product can be copied by a       A brand is unique.
competitor.




A product can be quickly         A successful brand is
outdated.                        timeless.
Why is Marketing Becoming
       More Important?
 Sales Declines
 Slow Growth – Need Sustaining Sales or New
  Markets
 Changing Buying Patterns and Customer Wants
 Increasing Competition, including New Products
 Increasing Marketing and Sales Expenditures.
 Understanding the 7 P’s: People
  (Target/Customer),
  Planning, Product/Service Development, Pricing,
  Place/Distribution, Promotion, and Partners/Alliances.
What is a Brand?
 It’s the company’s definition of what they
  have to offer.
 A brand is a product that has a personality.
 A promise to the customer.
 What the customer knows about your
  specific product. It’s your image.
 How the company or product is perceived?
What is a Brand?
 A set of product perceptions by the consumer.
 It is a personality developed over time.
 A brand signifies a relationship with the
  customer.
 It is the company’s most valuable asset. It’s
  also the main differentiator, the best defense
  against price competition, and the key to
  customer loyalty.
 Competitors can copy your features and
  benefits, but they can’t steal your brand.
 It’s a promise. But it must be backed up by
  performance.
Model Proliferation & Brand
           Identification
•   BMW= Brand
•   3-Series = Nameplate
•   325i, 325iX, 325Ci coupe,
•   325Ci convertible, 325 wagon and 330i

•           1995 vs. 2005 Models of Cars
• Cars:     480       591
• Trucks:   430       999
• Total:    910      1590
What is a Brand? &
        Brand Identification
 A brand is much more than a name—it’s a
  symbol, trademark, logo, term, sign, design or
  combination, which distinguishes a product
  from others.
 Sets a company’s products apart from
  competition. It’s the perception of the
  product in the minds of the consumers
 The marking of livestock. Artists signing their
  work.
 Your first opportunity is in the name. Easier to
  order and remember.
 Most important is consistency—globally too.
What is a Brand? &
       Brand Identification
 A brand is much more than a name—it’s a
  symbol, trademark, logo, term, sign, design
  or combination, which distinguishes a
  product from others.
 Sets a company’s products apart from
  competition. It’s the perception of the
  product in the minds of the consumers
 The marking of livestock. Artists signing
  their work.
 Your first opportunity is in the name. Easier
  to order and remember.
 Most important is consistency—globally too.
What is a Brand? &
        Brand Identification -2-
Examples:
1. Batteries: DieHard contains a promise of
long use. Sears has Craftsman, DieHard,
Homart and Kenmore.



                     2. Mercedes promises well-built,
                     prestigious, safety, performance.




3. Co branding/Dual branding: "Intel
inside."
What is a Brand? &
        Brand Identification -3-
More Examples:
4. Need to keep it fresh. Look at Coca-
Cola.
   Its image is as fresh today as when it
   started. It’s not luck. It’s careful
   nurturing and development of the brand.
   Can exploit brand equity with brand
   extensions, if there is value.

                5. Look at licensing. Need control over who
                uses your brand. Sunkist.

Why? Lowers marketing costs, greater trade leverage, can charge
higher price, defense against price competition, more easily launch
line extensions.
What is a Brand? &
       Brand Identification -4-
 Salt is in bright-colored packages.
 Oranges are marked. Labeled. A guarantee of
  quality.
 BMW paid $60 million for the Rolls Royce
  name. Nothing else.
 A brand can convey:
 Attributes + Benefits + Values + Culture +
 Personality
 Seller’s promise to deliver a specific set of
  features.
 Brand equity is the value a brand adds to the
  product.
Brand Awareness or
      Brand Insistence
Turning or Translating
  Brand Awareness
Into Brand Insistence.
              AIDA=
Awareness   Interest   Desire   Action
Branding
 Major Macroenvironment Forces and Trends
            …..Broad Environment
 Demographic
 Economic
 Natural/ Ecological
 Technological
 Political/ Legal
 Social/ Cultural
Marketing and Branding
 Products vs. Brands
 Look at Marketing Process:
 Analyzing Marketing Opportunities
 Segmentation, Targeting and Positioning
 Developing Marketing Strategies and 7P’s
 Planning Marketing Programs
 Executing, Managing and Evaluating Marketing
  Efforts
Marketing Flows

Physical Flow
Title Flow
Payment Flows
Information Flow
Promotion Flow
Suppliers, Intermediaries, Transporters,
  Wholesalers,
Dealers, Retailers, Banks, Marketing Firms,
Advertising Agencies, Media, Customers, Users
Marketing and Branding
• Most Purchased: Nation’s Number One
  Food
3% of Grocery Sales
Grown, Cut, Separated, Sorted, Cleaned,
  Labeled, Packaged, Shipped, Handled
  With Care.
Stickers

Potatoes
Marketing and Branding
                             Wine
  1980                                   2000
 2500       Wholesalers/Distributors    250
 250        Wineries                    2500*
 1,400 different brands of Chardonnay

 16.8% of wine drinkers
  consume 88%
  of the wine sold.

 3,700 wineries in 2004. But only 13.4% of California’s
  800 wineries had distribution in all 50 states.
White, Red, Rose

              1960   1970 1980 1990 2000
  White       17%    24%     54%     68%     57%
  Red         73%    50%     26%     18%     36%
  Rose        10%    26%     20%     14%       7%
   • 60% increase in Red, from one
             media event.
• Pinot Noir sales up 147% since movie “Sideways”
• U.S. is on track to overtake France and Italy as top
  wine producing nation in the world.
   WSJ 2/05
Wine

Merchandising and Events
Distribution
Liquor by the Law
Marketing of Beef, Veal, Pork, Lamb, Chicken,
                Turkey, Fish
    In Pounds (LBS) US Per Capita Consumption
    Retail Weight
    Source: USDA       1960       1970      1980       1990    2000
        Beef            63.4       84.6      76.6       67.4    69.6
        Veal               5        2.4       1.5        1.1     0.7
        Pork            61.3         56      57.3       49.8    54.1
        Lamb &
        Mutton           4.2        2.9       1.4       1.5     1.1
        Chicken         27.9       36.9      46.6      60.9    84.1
        Turkey           6.3        8.1      10.5      18.4    17.8
        Fish            10.3       11.7      12.4        15    14.8



From the National Cattlemen’s Beef Association:
US Produced 25% of world’s beef supply.
US Agriculture recommends 5-6 ounces of cooked meat a day.
Beef is 6% of total grocery store sales.
Marketing of Beef, Veal, Pork, Lamb,
          Chicken, Turkey, Fish

National Cattlemen’s Beef Association
Beef. It’s what for Dinner.
Pork. The Other White Meat.
Big Texan Steak Ranch in Amarillo.
Ostrich on British Airways.
The Turkey Store. The Turkey Restaurant.
McDonald’s
Branding

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Branding

  • 2. Product vs. Brand A product is something that is A brand is something that is bought made in a factory by a customer. A product can be copied by a A brand is unique. competitor. A product can be quickly A successful brand is outdated. timeless.
  • 3. Why is Marketing Becoming More Important?  Sales Declines  Slow Growth – Need Sustaining Sales or New Markets  Changing Buying Patterns and Customer Wants  Increasing Competition, including New Products  Increasing Marketing and Sales Expenditures.  Understanding the 7 P’s: People (Target/Customer), Planning, Product/Service Development, Pricing, Place/Distribution, Promotion, and Partners/Alliances.
  • 4. What is a Brand?  It’s the company’s definition of what they have to offer.  A brand is a product that has a personality.  A promise to the customer.  What the customer knows about your specific product. It’s your image.  How the company or product is perceived?
  • 5. What is a Brand?  A set of product perceptions by the consumer.  It is a personality developed over time.  A brand signifies a relationship with the customer.  It is the company’s most valuable asset. It’s also the main differentiator, the best defense against price competition, and the key to customer loyalty.  Competitors can copy your features and benefits, but they can’t steal your brand.  It’s a promise. But it must be backed up by performance.
  • 6. Model Proliferation & Brand Identification • BMW= Brand • 3-Series = Nameplate • 325i, 325iX, 325Ci coupe, • 325Ci convertible, 325 wagon and 330i • 1995 vs. 2005 Models of Cars • Cars: 480 591 • Trucks: 430 999 • Total: 910 1590
  • 7. What is a Brand? & Brand Identification  A brand is much more than a name—it’s a symbol, trademark, logo, term, sign, design or combination, which distinguishes a product from others.  Sets a company’s products apart from competition. It’s the perception of the product in the minds of the consumers  The marking of livestock. Artists signing their work.  Your first opportunity is in the name. Easier to order and remember.  Most important is consistency—globally too.
  • 8. What is a Brand? & Brand Identification  A brand is much more than a name—it’s a symbol, trademark, logo, term, sign, design or combination, which distinguishes a product from others.  Sets a company’s products apart from competition. It’s the perception of the product in the minds of the consumers  The marking of livestock. Artists signing their work.  Your first opportunity is in the name. Easier to order and remember.  Most important is consistency—globally too.
  • 9. What is a Brand? & Brand Identification -2- Examples: 1. Batteries: DieHard contains a promise of long use. Sears has Craftsman, DieHard, Homart and Kenmore. 2. Mercedes promises well-built, prestigious, safety, performance. 3. Co branding/Dual branding: "Intel inside."
  • 10. What is a Brand? & Brand Identification -3- More Examples: 4. Need to keep it fresh. Look at Coca- Cola. Its image is as fresh today as when it started. It’s not luck. It’s careful nurturing and development of the brand. Can exploit brand equity with brand extensions, if there is value. 5. Look at licensing. Need control over who uses your brand. Sunkist. Why? Lowers marketing costs, greater trade leverage, can charge higher price, defense against price competition, more easily launch line extensions.
  • 11. What is a Brand? & Brand Identification -4-  Salt is in bright-colored packages.  Oranges are marked. Labeled. A guarantee of quality.  BMW paid $60 million for the Rolls Royce name. Nothing else.  A brand can convey: Attributes + Benefits + Values + Culture + Personality  Seller’s promise to deliver a specific set of features.  Brand equity is the value a brand adds to the product.
  • 12. Brand Awareness or Brand Insistence Turning or Translating Brand Awareness Into Brand Insistence. AIDA= Awareness Interest Desire Action
  • 13. Branding  Major Macroenvironment Forces and Trends  …..Broad Environment  Demographic  Economic  Natural/ Ecological  Technological  Political/ Legal  Social/ Cultural
  • 14. Marketing and Branding  Products vs. Brands  Look at Marketing Process:  Analyzing Marketing Opportunities  Segmentation, Targeting and Positioning  Developing Marketing Strategies and 7P’s  Planning Marketing Programs  Executing, Managing and Evaluating Marketing Efforts
  • 15. Marketing Flows Physical Flow Title Flow Payment Flows Information Flow Promotion Flow Suppliers, Intermediaries, Transporters, Wholesalers, Dealers, Retailers, Banks, Marketing Firms, Advertising Agencies, Media, Customers, Users
  • 16. Marketing and Branding • Most Purchased: Nation’s Number One Food 3% of Grocery Sales Grown, Cut, Separated, Sorted, Cleaned, Labeled, Packaged, Shipped, Handled With Care. Stickers Potatoes
  • 17. Marketing and Branding Wine 1980 2000  2500 Wholesalers/Distributors 250  250 Wineries 2500*  1,400 different brands of Chardonnay  16.8% of wine drinkers consume 88% of the wine sold.  3,700 wineries in 2004. But only 13.4% of California’s 800 wineries had distribution in all 50 states.
  • 18. White, Red, Rose 1960 1970 1980 1990 2000 White 17% 24% 54% 68% 57% Red 73% 50% 26% 18% 36% Rose 10% 26% 20% 14% 7% • 60% increase in Red, from one media event. • Pinot Noir sales up 147% since movie “Sideways” • U.S. is on track to overtake France and Italy as top wine producing nation in the world. WSJ 2/05
  • 20. Marketing of Beef, Veal, Pork, Lamb, Chicken, Turkey, Fish In Pounds (LBS) US Per Capita Consumption Retail Weight Source: USDA 1960 1970 1980 1990 2000 Beef 63.4 84.6 76.6 67.4 69.6 Veal 5 2.4 1.5 1.1 0.7 Pork 61.3 56 57.3 49.8 54.1 Lamb & Mutton 4.2 2.9 1.4 1.5 1.1 Chicken 27.9 36.9 46.6 60.9 84.1 Turkey 6.3 8.1 10.5 18.4 17.8 Fish 10.3 11.7 12.4 15 14.8 From the National Cattlemen’s Beef Association: US Produced 25% of world’s beef supply. US Agriculture recommends 5-6 ounces of cooked meat a day. Beef is 6% of total grocery store sales.
  • 21. Marketing of Beef, Veal, Pork, Lamb, Chicken, Turkey, Fish National Cattlemen’s Beef Association Beef. It’s what for Dinner. Pork. The Other White Meat. Big Texan Steak Ranch in Amarillo. Ostrich on British Airways. The Turkey Store. The Turkey Restaurant. McDonald’s

Notas do Editor

  1. As vacationers hit the road so do amenities--- to the tune of $100 million. Towels, bathrobes, ashtrays, but also bedspreads, shower heads, flatware, TV’s, and wall paintings. Hotels have cut down on theft by NOT putting brand or logo on items.
  2. As vacationers hit the road so do amenities--- to the tune of $100 million. Towels, bathrobes, ashtrays, but also bedspreads, shower heads, flatware, TV’s, and wall paintings. Hotels have cut down on theft by NOT putting brand or logo on items.
  3. 65% of US households buy at least once a week. Selling 20 billion fingers. 31% apples. Account for tastes on a 1-7 scale with 7 being green and 1 being yellow. Sells for 50 cents a pound at retail and 14.5 cents at plantation. Can not be bounced or bruised. Potatoes: # 1 state: Idaho, Washington and Maine is #6. Average person eats 142 lbs a year. 60 lbs of french fries, 44 lbs fresh and 37 lbs processed.
  4. P-W-R-C (Producer to Wholesaler to Retailer to Customer to User)
  5. 60 November 1991 Health benefits of drinking red wine. minutes
  6. Vintners sampling at retailers (Neiman Marcus), malls, on cruise ships (Crystal Cruises) , bridal events. Liquor Laws: